When ceasing their South African tax residency, taxpayers are subject to an ‘exit tax’ which forms part of the emigration process. Victoria Lancefield General Manager Financial Emigration & Tax Residency CIMA Dip MA, ACCA Dip However, National Treasury has proposed a further tax on those who intending to leave South African shores permanently. In the…
Over the last couple of years, SARS has systematically increased their manpower to better orchestrate taxation processes, as well as their investigative procedures. They have also allocated R3 billion towards improving their technological and information-gathering infrastructure, which will aid in tightening the noose around individuals with undeclared foreign-earned income or cryptocurrency tax evaders. SARS has…
National Treasury published the latest Draft Tax Bills on 28 July 2021, which incorporate the tax proposals made in the 2021 Budget. The Draft Taxation Laws Amendment Bill (TLAB) contains a particularly jarring amendment which proposes to tax retirement fund interests of individuals when they cease South African tax residency. Existing exit tax It is…
National Treasury published the latest Draft Tax Bills on 28 July 2021, which incorporate the tax proposals made in the 2021 Budget. Highlighted below are 5 key changes proposed by Government that taxpayers need to be aware of. Curbing abuse of ETI – Schemes where ETI is claimed in respect of individuals who do not…
Adding to the challenges of 2020, the South African Revenue Services (SARS) announced that it did not make its annual budget. Tanya Tosen Master Mobility and Tax Specialist In addition, SARS amended the tax laws for South African expats, now drawing them into this diminishing tax net. Previously all income for services rendered abroad were…
Remote work has become the norm for many employees and professionals alike. Along with the growth of the ‘gig’ economy, which surged during the Covid-19 pandemic, the most remarkable change is the flexibility and mobility of remote working employees, who can criss-cross the country and global borders without taking a day’s leave. Tanya Tosen Master…
SIX THINGS TO LOOK OUT FOR Post-Covid economic resurgence saw an increase in international work opportunities. With skills in hand, many South African professionals have become sought-after in other countries. As a result, their finances and subsequent taxation have come under scrutiny. However, along with the awareness of tax complications, another threat has emerged. Financial…
With the world’s recent and continuing lockdowns, in view of the ever-present Covid-19 pandemic, more and more South Africans are considering moving abroad (or having their children move abroad). “Work from anywhere” is the theme of the day and, while this seems a simple enough endeavour in theory, in reality there are many concerns which…
“From blocked accounts, to financial freedom, and back to blocked accounts.” Lovemore Ndlovu SARS and South African Reserve Bank Specialist On Thursday 3 June 2021, SARS issued its guidance on what ceasing South African tax residency involves, by posting its “Cease to be a Resident” webpage. This is a welcome initiative that may clear up…
South Africa has a history of taxpayers making use of offshore structures in order to conceal their assets and income. Taxpayers have long believed that these arrangements were beyond SARS’ reach, but will they stand the test of time? While many South Africans have previously disclosed their offshore assets under the tax and exchange control…
